In an effort to make life better, the Zimnat Group offers services essential for prudent wealth management, from insuring wealth to providing short-term financing solutions and long-term financial planning.
This article seeks to explore the aspect of long-term financial planning.
It demystifies the term “Asset Management”, as well as who needs it and why.
The asset manager’s goal is to protect and grow the client’s wealth through investment vehicles in equities, fixed income securities, property and other structured investments.
The mysterious science behind it is simply in-depth analysis of economic and political information that allows for efficient allocation of capital.
Pension funds and corporates are usually more familiar with the need for long-term financial planning than most individuals.
Pensioners should be able to comfortably live off the income from their annuity for the rest of their life, if they’ve put enough money into it.
Providing this level of financial security for ordinary people is a pension fund’s primary aim. In the current climate, this is a serious investment challenge.
For corporates, capital accumulation is important for business expansion. It is required to support the process of establishing new subsidiaries and building them into successful entities that can provide them with a strong return on their investment.
Zimnat Asset Management provides discretionary and non-discretionary investment management and advisory services to pension funds, life assurance companies, corporate companies, high net worth individuals and families.
Each client’s investments are managed according to a specific strategy, which is extensively discussed and reviewed periodically to align the client’s portfolio with the client’s investment objectives.
Unlike the entities mentioned above, ordinary individuals are usually not inclined to think in terms of long-term financial planning. When they do, investing and savings are viewed as the same thing.
Savings are a part of income set aside in one’s bank account or under one’s pillow or as part of a savings club scheme to spend at a future date.
Investments are savings that generate returns through dividends, interest, rentals and other income-earning schemes.
Investments, when managed correctly, increase in value over time, allowing one to sell at a profit. Individual investment provides a means of attaining financial security and independence. It allows one to build wealth faster and therefore attain goals such as buying a home, saving for retirement or starting a business.
Ordinary individuals may be hesitant to invest because investment tends to be seen as requiring large sums of money.
Unit trusts are ideal for small investors. They are investment vehicles that pool investors’ money in a single fund, which is managed by a fund manager.
It does not matter how much the individual investor contributes to the fund. It can be as little as $150.
Zimnat Asset Management operates several unit trust funds that offer exposure to money market instruments, quoted equities and bonds.
Management of risk is an important factor in long-term financial planning. It not only considers economic fundamentals but the political environment, international relations, the corporate governance practices of listed companies and changes in investment regulations, as well as the social responsibility of the individual or corporation with the wealth.
Zimnat Asset Management continually assesses client portfolios to ensure they are structured according to the underlying risk appetite of each client, with the ultimate objective of hedging against potential capital loss.
In a nutshell, whether you are an individual or corporation, an asset manager will aid you in your long-term financial goals.
Zimnat Asset Management provides innovative investment solutions aimed at meeting the wide-ranging requirements of its clients.